An employer does not want to adopt the EGTRRA amendments. For 2002, they want to continue using a compensation limit of $170,000, the 15% deduction limit and still count elective deferrals as employer contributions for section 404 deduction limits. It is my understanding that all plan sponsors need to adopt the EGTRRA amendments. Can a plan sponsor continue to use the old rules (pre EGTRRA) for plan years starting in 2002?

If, through administrative error, an employee is not enrolled in the employer's 401(a)/414(h)(2) pension plan when eligibility has been met, who is responsible for making up the 414(h)(2) contribution? Can the employer force the employee to make-up the past 414(h)(2) contribution if the employee cannot afford to?

If an employee elected pre-tax deductions and was terminated, when rehired, is there a waiting period before he is then eligible for pre-tax deductions in the future? This relates to health insurance dedutions.

Just saw this morning in RIA Pension & Benefit Weekly:

As a result of the suspension of the 30-year bond, Treasury will no longer supply the Federal Reserve Board with an estimate of the 30-year constant maturity yield, which is used by defined benefit plans to figure funding needs and lump-sum distribution amounts, and is published in the H-15 Selected Interest Rates Release.

What's the next step here?

Can anyone provide or direct me to a listing or source that shows the largest or Top 50 etc employee benefits consulting firms?

Can anyone provide or direct me to a list or source that shows the largest or Top 50 etc employee benefits consulting firms?

Can anyone direct me to a listing or source that shows who are the largest or Top 50 etc employee benefits consultanting firms and their size or revenue?

Hi all, I'm single and have had my Roth for a while, and I'm below the single limit. If I get married and she makes enough to put us over the married limit even though each of us is below the single limit, does this mean we cannot keep this as our main retirement vehicle? Thanks for any replys.

Be aware that Relius is not properly handling statuatory exclusions on their general non-discrimination testing. I have alerted them and they are working on a fix. My guess is that it won't happen for a while. We noticed this at 7.0, but I believe it was also this way on 6.0 (chances are it has always been this way). Relius strictly looks at 18 months as its exclusion period and I do not know of any workaround.

Tim

Reference: CCh Pension Plan Guide paragraph 27,014 (ASPA Conference) question 28--Did the Service ever issue guidance on this and if so where?

I regularly encounter a group of doctors who "share" employees--all of whom work full-time. One common scenario is that each doctor separately W-2s the employees for the respective time the employee directly works for that doc. The other scenario is that one doc W-2s each employee for 100% of their comp and then the other docs reimburse that Employing doc for their respective cost of wages and benefits. This creates some issues over eligibility and testing when each of the docs have different plans (or when not all docs have a plan).

How are practitioners handling this? Is there a cost-effective way to access a multiple-employer plan?

In a defined contibution plan, a terminated participant with an account balance in excess of $5,000 can opt to leace his or her account balance in the plan and not accept a distribution.

Does a terminated participant in a 457 plan have the same right?

Thanks.

What options do I have in receiving a lump sum from a direct distribution payment of my joint pension trust fund, now that I am no longer a union employee? I am 100% vested, 32 years of age and out of the trade for 4 years.

I am getting contradicting information in regards to Domestic Partners and self-insured benefit plans. Our company is in 43 states and has just found that one of our stores is in a city where a new law was passed requiring benefit coverage for domestic partners.

I have been hearing two stories. One that we must allow domestic partners to participate in the plan and another is that because our self-insured plan qualifies under ERISA, we do not have to comply with the city law.

What you know about this?

Are state agencies subject to the the OASDI portion of FICA withholding on 414(h)(2) contributions?

Does anybody know anything about DC healthplans? Are they similar to regular 401k plans as far as adminstration? Where would be a good source to find information about DC Healthplans. Thanks

There is an employee that was terminated in 1999. This employee is an attorney and received wages due to a pending settlement over the last couple of years. He received his final settlement wages (W-2) in late 2001 even though he is terminated from the employer. Does the employer still have to contribute to the SEP for him?

Are 403(B) Plans Subject to ERISA (we are a non-profit) subject to the February 28th deadline to amend for GUST???? I am very confused. I have read Revenue Procedure 2000-27, and it doesn't seem to address it. Thanks!

With one of the criterial for a DB plan to be exempt from coverage from the PBGC being if the plan covers only substatial owners, my question is:

If the plan covers a controlled group, does the ownership apply to the total of the entities or would greater than 10% ownership in one of them suffice for being a substantial owner? Any cites would be helpful in your answer.

Here's a fun question. I've been managing our company's 401(k) plan for a year, and we've been using a third party administrator. We switched plans and administrators in the beginning of 2001. Our previous administrators recently sent me a note that we matched to much to some highly compensated employees' accounts in 2000 (we didn't cap their salaries at the $170,000 limit).

I know that a distribution of excess contributions needs to be made after the plan year in which those contributions were made (and within 2 1/2 months to avoid any fees). Does this also apply since it's only the matching piece that is in excess and not any employee deferrals?

I tend to think we need to go through an IRS voluntary compliance program, but our former TPA says not necessary.

Thanks for any insight.